Benefit Chain

Posted in Marketing and Strategy Terms, Total Reads: 1121

Definition: Benefit Chain

The benefit chain is a market research tool which analyses the psychological characteristics & behavioral traits of customer satisfaction. It helps marketers to understand and analyze people's feelings about the different services and products both quantitatively as well as in a qualitative manner. The technique can also be approached from a research and development standpoint.

Using the benefit chain, the intangible benefits, or the people payoffs that consumers derive from a particular attribute of a service or product can be evaluated and studied. The marketing and creative advertising people could apply the benefit chain to ascertain the practical advantages that consumers associate with a product. The product positioning can be done; the psychological benefits that the customer would derive from the product could be stressed on while advertising the products.

Thus, we see that using the benefit chain, we can link the right psychological advantages to the fundamental buying incentives which are developed for a product. The benefit chain shows what features best convey the value of the product, and those which must be stressed. The researcher could understand what was more important from a customer’s point of view.

For example, while analyzing the benefit chain of shaving razors; if it is found that consumers consider ‘safety’ as an important factor rather than the price of the product, the research and development as well as advertising could focus more on this aspect.


Hence, this concludes the definition of Benefit Chain along with its overview.


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